Floor Price Strategy by Supply Source Tier
Floor prices are the most powerful lever supply sources (Publishers) have to balance fill rate against eCPM. Too high: demand sources (DSPs) can’t win, fill rate collapses. Too low: demand sources win cheaply, revenue is left on the table.
This recipe gives starting floor prices by format and geo, and a process for optimising them using sandbox testing.
Starting floor prices by format
| Format | Low-tier supply sources | Mid-tier | Premium |
|---|---|---|---|
| CTV video (15s/30s) | $2.00 CPM | $4.00 CPM | $8.00+ CPM |
| Mobile video (15s) | $0.80 CPM | $1.50 CPM | $3.00 CPM |
| Web 300×250 | $0.25 CPM | $0.50 CPM | $1.00 CPM |
| Web 728×90 | $0.15 CPM | $0.30 CPM | $0.60 CPM |
| Web 970×250 | $0.40 CPM | $0.80 CPM | $1.50 CPM |
Tier definitions:
- Low-tier: New supply source, unverified app-ads.txt, broad geo, no genre tagging
- Mid-tier: Verified, established inventory, mixed geo, genre tagged
- Premium: Verified, CTV, targeted geo (MENA, UK, US), genre tagged, high fill history
Starting floors by geography
| Region | CTV floor | Mobile floor | Notes |
|---|---|---|---|
| UAE / Saudi Arabia | $5.00–8.00 CPM | $1.50–3.00 CPM | Premium MENA market |
| UK / Germany / France | $4.00–6.00 CPM | $1.00–2.00 CPM | Established EU markets |
| USA / Canada | $5.00–7.00 CPM | $1.00–2.50 CPM | Competitive, high demand |
| Southeast Asia | $1.00–2.00 CPM | $0.30–0.80 CPM | Lower demand source density |
| Rest of World | $0.50–1.50 CPM | $0.20–0.50 CPM | Use low floor to attract demand |
Daypart floor adjustment
For supply sources with consistent prime time traffic, consider higher floors during peak hours:
| Period | Adjustment |
|---|---|
| Prime time (18:00–23:00 local) | +30–50% above base floor |
| Business hours (09:00–17:00) | Base floor |
| Off-peak (23:00–09:00) | −20–30% below base floor (higher fill > higher floor) |
Floor prices on Praevis are static — a single value per supply source. Daypart floor adjustment requires you to update the floor periodically or use demand source Delegate strategies with daypart-aware bidding, rather than supply-source-side floor scheduling.
Finding your optimal floor
Use this process to converge on the right floor:
Step 1: Start low in sandbox
Set a floor 50% below your target. In sandbox, use HighBidder (always wins above floor) and LowBidder (never wins). Confirm fill rate is ~70–80%.
Step 2: Raise floor incrementally in production
After going live, increase floor by $0.50–1.00 CPM every 3–5 days. Monitor:
- Fill rate (should stay above 40% for healthy inventory)
- eCPM (should rise with floor increases)
- Revenue (eCPM × fill rate — the product should increase)
Step 3: Stop when fill rate drops too far
For most inventory, fill rate below 30% indicates the floor is above what the market will pay. The eCPM gain doesn’t compensate for lost impressions.
Revenue = Fill Rate × eCPM × Requests
If eCPM doubles but fill rate halves, revenue stays the same. You want the product to increase.
Step 4: Check demand source win breakdown
Dashboard → your supply source → Demand Source Breakdown. If demand sources are bidding but losing frequently (their bids appear in logs but below your floor), your floor is above market rate for that demand source. Consider lowering for that pool.
Example optimisation run
| Day | Floor | Fill Rate | eCPM | Revenue Index |
|---|---|---|---|---|
| 1 | $2.00 | 82% | $2.40 | 1.97 |
| 5 | $3.00 | 71% | $3.40 | 2.41 |
| 10 | $4.00 | 58% | $4.30 | 2.49 |
| 15 | $5.00 | 38% | $5.10 | 1.94 |
| 20 | $4.00 | 57% | $4.35 | 2.48 ← optimal |
At $5.00, fill rate dropped too much and revenue index fell below the $4.00 level. Optimal floor: $4.00 CPM.